Amazon Workers Compensation Claims and Settlements

Amazon Workers Comp Frequently Asked Questions (FAQs): A Plaintiff’s Attorney’s Guide

 

Helping Injured Amazon Warehouse Workers and Delivery Drivers Win Their Claims and Negotiate Lump Sum Settlements

 

Amazon is the world’s largest online retailer and second-biggest employer (Walmart is first).

 

Amazon is known for its logistics capabilities. Indeed, Amazon could offer same-day and one-day delivery to 72% of the U.S. population in 2019, and it has opened 45 same-day shipping centers since then (with as many as 150 operating soon). Further, it now has a last-mile transportation network similar in size to UPS (United Parcel Service)

 

Amazon packs, ships, and delivers billions of packages yearly with the help of approximately 1,541,000 employees spread throughout a system of warehouses (fulfillment centers), sortation centers, physical stores, office buildings, and customer service facilities. 

 

Some Amazon fulfillment centers are enormous, employing over 1,500 people to pick (select orders), pack, and ship orders. For example, Amazon’s distribution center in Mt. Juliet, Tennessee, employs nearly 3,000 employees in the 3+ million square foot warehouse. 

 

But Amazon’s rise has cost many warehouse workers and delivery drivers their health. 

 

Work-related injury data from the Occupational Safety and Health Administration (OSHA) shows Amazon warehouse workers suffer occupational injuries at higher rates than those at warehouses run by other employers

 

In addition, investigations by ProPublica and BuzzFeed suggest “Amazon officials have ignored or overlooked signs that the company was overloading its fast-growing delivery network while eschewing the expansive sort of training and oversight provided by a legacy carrier like UPS.” 

 

You should not have to suffer the consequences of an Amazon work accident alone. 

 

And that is why I wrote this article – to help injured warehouse workers and delivery drivers like you get benefits and negotiate fair Amazon workers compensation settlements.  

 

Call us at (804) 251-1620 or (757) 810-5614 if you are an Amazon employee hurt while delivering packages or working at one of the more than 30 Amazon fulfillment and sorting centers and delivery stations in Virginia or four large distribution warehouses in Maryland. 

 

Our personal injury law firm helps Amazon employees get all the benefits and lump sum payments available under workers compensation laws. And we want to help you. 

 

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What You Need to Know if You Get Hurt as an Amazon Employee

 

The following sections answer questions from injured Amazon warehouse workers and delivery drivers we have received over the years. 

 

These answers often influence the amount of the Amazon workers compensation settlement negotiated. 

 

Does Amazon Have a High Injury Rate?

 

Yes, Amazon workplace accidents and injuries happen often.

 

Many employees, labor unions, and workplace safety advocates criticize Amazon for unsafe working conditions

 

And the data supports these criticisms. 

 

Amazon has higher injury rates than other employers in the warehouse category. 

 

For example, in 2021, Amazon’s injury rate was nearly 1.5 times the industry average. At some Amazon warehouses and fulfillment centers, 12 workers out of 100 suffered injury.

 

In addition, Amazon workers suffered 6.6 severe injuries per 100 employees last year. This statistic is “more than double the rate of all non-Amazon warehouses, which had 3.2 serious injuries for every 100 workers.” 

 

Further, the U.S. Department of Labor has issued many citations at multiple Amazon warehouses for the company’s failure to keep workers safe. 

 

Why Does Amazon Have a High Rate of Work Injuries?

 

Multiple factors explain the high number of Amazon occupational injuries and workers compensation claims.

 

The primary reason is the job’s nature.

 

Amazon warehouse workers and drivers face many workplace risks related to the following:

 

  • Long hours of physical labor (standing, walking, pushing, pulling, lifting, carrying, reaching, handling)

 

  • Awkward positions to pick items for orders (bending, twisting, stretching, squatting, kneeling)

 

  • Lifting heavy items

 

  • Proximity to machinery and equipment, such as forklifts, conveyor belts, pallet jacks, and carts

 

  • Climbing ladders or working on raised platforms

 

  • Using hand tools

 

 

 

 

The second reason Amazon workers have a high occupational injury rate is the hurried environment at Amazon distribution centers.

 

As an Amazon fulfillment associate, your supervisor may ask you to compete against other employees to see who can pick and fill more online shopping orders (or finish first).

 

In addition, you may have a quota (a specific number of items or orders you must get) that forces you to work on your feet and in awkward positions as fast as possible for 10 to 12 hours per day.

 

Amazon will monitor your performance closely and may terminate your job if you do not meet your quota.

 

Rushing to do your job increases the risk of workplace accidents and harm.

 

What is the Most Common Injury at Amazon?

 

The most common injuries at Amazon are similar to those from the most common warehouse accidents. 

 

Frequent Amazon warehouse accidents and injuries include the following:

 

 

 

 

  • Trip and fall accidents from debris or objects on the floor

 

  • Repetitive motion/cumulative trauma

 

  • Hit by an object

 

  • Loading dock accidents

 

 

 

 

 

  • Rack collapses

 

  • And more

 

Does Amazon Provide Workers Compensation?

 

Yes, Amazon must provide workers comp coverage to its employees.

 

Every U.S. state but Texas requires employers to purchase workers compensation insurance to pay benefits for occupational injuries and illnesses or receive approval to be self-insured.

 

What Benefits Can I Receive through Amazon Workers Compensation?

 

You may receive these workers compensation benefits after an Amazon workplace accident:

 

 

 

 

 

How Do I Protect My Right to These Benefits After an Amazon Work Accident?

 

Generally, injured workers have the burden of proof in workers compensation cases. 

 

This burden means you must satisfy the procedural and substantive requirements to recover workers comp benefits. 

 

You increase the likelihood of receiving Amazon workers compensation if you do the following:

 

 

 

 

  • See whether you must market your residual work capacity (this applies if you receive medical work restrictions) or accept a light duty job if Amazon offers one

 

Who is the Workers Compensation Carrier for Amazon?

 

American Zurich Ins. Co provides workers compensation insurance coverage for Amazon in Virginia and Maryland, the two states where we handle Amazon workers comp claims for employees hurt on the job.

 

Does Sedgwick Handle Amazon Workers Comp Claims?

 

Yes.

 

You will likely receive a phone call from a workers comp claim adjuster with Sedgwick Claims Management Services, Inc. Wait to give a recorded statement before speaking with a workers comp lawyer for Amazon employees first, no matter how nice and friendly the adjuster seems.

 

Sedgwick is a third-party administrator (TPA) that handles the claims processing, reporting, and adjusting when an injured Amazon warehouse worker (or delivery driver) submits an occupational injury claim.

 

Most of your communication (phone calls, letters, emails, court filings) during the case will be to and from Sedgwick, even though your claim is through Amazon, which has workers compensation insurance with American Zurich Ins. Co.

 

We understand that Sedgwick (and the insurance defense attorneys) recommend whether to accept or deny a claim and the amount to offer as an Amazon workers compensation settlement. But generally, approval must come from Amazon before Sedgwick offers to settle or enter into a Workers Compensation Award Order.

 

You can get more information about Sedgwick workers comp claims here.

 

What is Amcare at Amazon?

 

Call a lawyer immediately if your boss refuses to help you get medical treatment for an Amazon work injury and instead tells you to go to Amcare. 

 

Amcare is the name of Amazon’s on-site medical units. 

 

If you suffer an injury at an Amazon warehouse, your supervisor may tell you to seek treatment at Amcare so you do not have to leave the fulfillment center. 

 

In our opinion, employers use in-house medical staff to reduce their workers comp costs and limit the amount of lifetime medical benefits and temporary total disability payments you receive.

 

Sending you to Amcare for an occupational injury or illness may create several problems.

 

For example: 

 

First, Amazon must follow the Workers Compensation Act’s provisions on medical care, although it has on-site health care. 

 

The law says your employer must offer a panel (list) of at least three doctors from which to choose. And these physicians must come from different medical practices. 

 

Therefore, pigeonholing you to Amcare for a work-related injury violates the law. 

 

And you give Amazon more control over the most critical person in your claim – the authorized treating physician – than you have to. This mistake may harm your case if you need doctor disability letters or reports on causation during litigation

 

Second, an investigation by The Intercept and Type Investigations “found multiple instances in which [Amcare] clinic staffers violated Amazon’s own rules as well as government regulations.” Indeed, “[t]he investigation found that Amcare employees nationwide were pressured to sweep injuries and medical issues under the rug at the expense of employee health.” 

 

Third, Amcare may focus more on returning you to work to help the company than on helping you heal through rest and recovery. This hurts your health, finances, and legal options. 

 

What Law Firms Defend Amazon Workers Compensation Claims?

 

We resolve (either through stipulation or settlement) many Amazon workers comp claims with the Sedgwick adjuster directly.

 

However, Amazon/Sedgwick sometimes refers files to outside counsel to defend the claim or draft the settlement papers (compromise and release).

 

Many of these claims referrals go to Kalbaugh Pfund Messersmith (KMP) Law in Virginia, which also handles Home Depot workers compensation claims.

 

But in the past several years, Amazon has also used Winchester Law Group and Kiernan Trebach to defend occupational injury claims in other parts of the state, such as the Clear Brook Fulfillment Center.

 

Our Amazon workers comp attorneys are familiar with the lawyers at all these firms, having gone to trial against them and negotiated settlements.

 

Will Amazon Offer a Workers Compensation Settlement?

 

Amazon will negotiate and agree to workers compensation settlements in some cases.

 

Indeed, our experience is that Amazon/Sedgwick prefers to close claims with lump sum payments instead of keeping them open indefinitely.

 

Different claim stages often influence when workers comp offers a settlement (read about these milestones here).

 

But know that an Amazon workers compensation settlement is possible, with or without mediation.

 

What is the Average Amazon Workers Compensation Settlement?

 

We do not believe in a one-size-fits-all approach to calculating Amazon workers compensation settlements (reasonable ranges). 

 

Instead, we analyze all the factors that may affect your occupational injury claim and adjust these figures based on what to expect from Amazon/Sedgwick based on past workers compensation settlements we negotiated with them with similar injuries.

 

Items that impact Amazon workers compensation settlements include the following:

 

  • Claim compensability: Has Amazon accepted that workers compensation law covers your injury, or will you need to go to a workers compensation hearing to prove you had an injury by accident arising out of and in the course of the employment?

 

  • Your pre-injury average weekly wage: The more you earned before the Amazon injury, the greater the potential settlement value

 

  • The body parts injured determine your entitlement to permanent partial disability benefits

 

  • How much Amazon has paid in indemnity or medical benefits

 

  • Present value of the weeks of wage loss benefits remaining

 

 

  • Physical exertion level of your pre-injury job

 

  • Whether you have reached maximum medical improvement (MMI) and undergone a functional capacity evaluation (FCE), and whether you can return to your pre-injury job with the permanent restrictions from the FCE

 

 

  • Deputy commissioner assigned to your claim (if litigated)

 

 

Write a settlement demand letter that addresses why these factors favor high insurance reserves and valuation after you complete your evaluation. 

 

This demand may scare the insurance adjuster into offering a reasonable Amazon workers compensation settlement. 

 

Does Amazon Require a Voluntary Resignation as Part of a Workers Compensation Settlement?

 

Yes (at least, in Virginia).

 

In our experience, all Amazon warehouse locations require an injured worker to resign and agree not to apply for rehire as a part of the settlement. (Read why employers and insurers may require this here).

 

Therefore, we recommend asking for additional compensation for giving up this right when you settle an occupational injury claim with Amazon.

 

What is Light-Duty Work at Amazon?

 

Usually, Amazon will offer a modified light-duty position, also called Temporary Alternate Duty (T.A.D.) or a Temporary Work Assignment (T.W.A.), for a limited period after your work injury.

 

Amazon has two light-duty programs: the Amazon Alternative Assignment Program and the Amazon.Community.Together (A.C.T.) Program.

 

Amazon Alternative Assignment Program for Injured Workers

 

The Amazon Alternative Assignment Program is used to find light-duty jobs for Amazon employees at the same warehouse where they were injured. 

 

Here is how it works: 

 

After receiving light-duty restrictions from your doctor, you give your supervisor and Human Resources representative a copy of the work status note.

 

If there is a light-duty job that you are capable of performing with your restrictions, then Amazon will send you a formal “Offer of Temporary Work Assignment.” It will ask you to sign the document and report to work on the date stated in the letter.

 

Amazon.Community.Together (A.C.T.) Program for Injured Workers

 

We have seen Amazon contact some of my clients by email, offering a Temporary Work Assignment through the A.C.T. Program.

 

Under this program, Amazon partners with community charities and nonprofit organizations and provides injured workers as volunteers when it cannot accommodate the worker’s modified duty restrictions at the warehouse.

 

If you accept a position with a nonprofit through Amazon’s A.C.T. Program, then Amazon will continue to pay your regular wages. The nonprofit does not pay you.

 

 

Workers’ rights advocates have criticized this program as a way for Amazon to hide the scope of workplace injuries by reducing the number of lost time claims reported.

 

These efforts may have worked, as we last saw Amazon use the A.C.T. program in Virginia years ago. 

 

How Long Will Amazon Provide Light-Duty Work After an Accident?

 

In our experience, Amazon will provide modified duty for 60 to 90 days before asking you to take a leave of absence.

 

When the Amazon light duty job ends, you must market your residual work capacity (look for a job within your restrictions) if you do not have an Award Order. Otherwise, Amazon may not have to pay ongoing wage loss benefits.

 

Do I Have to Accept Amazon’s Light-Duty Job Offer to Receive Workers Comp Benefits?

 

Whether you have to accept Amazon’s offer of light duty depends on the requirements of the modified duty position and the restrictions your doctor gave you.

 

You can reject the job if your treating physician disabled you from all work.

 

However, you must accept the job if your doctor says you can perform it because it is within your restrictions. 

 

You risk wage loss payments (but not medical treatment or permanent partial disability) if you reject a bona fide offer. 

 

Can You Sue Amazon if You Get Hurt on the Job?

 

You may want to file a civil action (complaint) for personal injuries if you get hurt on the job at Amazon.

 

Suing a big corporation with significant assets is tempting. Collectability, or the ability to collect money from a judgment (court order or verdict), is vital in determining whether you have a viable tort claim. And you know Amazon has the money to pay a judgment.

 

Unfortunately, workers compensation is the exclusive remedy if you are an Amazon employee hurt on the job or while performing work-related tasks such as delivering packages. And you are limited to the benefits available under the applicable state workers comp laws, although Amazon could afford to pay more in damages for occupational injuries and illnesses.

 

An exception applies, however, if someone unaffiliated with Amazon causes your work injury due to negligence.

 

Then you can pursue a workers compensation case against Amazon while seeking damages against the negligent person who caused the workplace incident. This claim is known as a third party lawsuit.

 

For example, an Amazon delivery driver bit by a dog may seek work comp benefits against the company and file a lawsuit against the dog’s owner.

 

In addition, you may be able to sue Amazon for a work injury if you are one of the independent contractors it uses to supplement it workforce.

 

Your specific employment conditions and the accident facts will determine whether your civil claim survives a demurrer or a plea in bar.

 

Our Injury Law Firm Focuses on Representing Amazon Warehouse Workers Hurt at These Locations in Virginia and Maryland

 

Many of you risk your health and body to help Amazon fill and deliver orders.

 

Indeed, Amazon has a significant presence in Virginia and Maryland. For example, more than 25,000 Amazon warehouse workers and delivery drivers move packages in Virginia. 

 

Our workers compensation lawyers help Amazon employees in Virginia and Maryland get the medical care, wage loss payments, and settlements they deserve when injury strikes.

 

And our work injury attorneys are familiar with Amazon accident claims and workers compensation settlements arising from injuries at these facilities: 

 

  • Petersburg/Dinwiddie County (RIC1), 5000 Commerce Way, Petersburg, VA 23803. This Amazon warehouse opened in 2012 and has approximately 1 million square feet of space.

 

  • Chesterfield County (RIC2, RIC3): RIC2 opened in 2012 at 1901 Meadowville Technology Parkway, Chester, VA 23836. This facility has over 2,000 employees (more during the Christmas shopping season) and nearly ten miles of conveyor belts weaving through the warehouse. RIC3 is an Amazon sortation center.

 

  • Henrico County (RIC4): Amazon added a fulfillment center at Richmond Raceway in Henrico. This warehouse has 65,000 square feet and adds 1,000 jobs.

 

  • Ashland/Hanover County (RIC5, RIC9): RIC 5 is a 328,000-square-foot package sorting facility at 11600 N. Lakeridge Parkway in Hanover County.

 

  • Sterling/Loudoun County(BWI 1): Amazon operates a warehouse at 5617 Industrial Dr., Springfield, VA 22151.

 

  • Stafford County: Amazon has a 200,000-square-foot delivery station in Stafford. And in 2021, the company announced it would open a 630,000-square-foot cross-dock facility at 220 Centreport Parkway.

 

  • Clear Brook (BWI4): Amazon opened the Clear Brook Fulfillment Center in June 2018. This facility in Frederick County, at 281 Woodbine Road, off the Martinsburg Pike (U.S. Route 11), has roughly 1 million square feet. Its approximately 1,000 employees pick, pack, and ship large items such as furniture and big screen T.V.s.

 

  • Norfolk: Amazon opened a delivery station at 1400 Sewells Point Rd. in Norfolk

 

 

  • Chesapeake: Amazon opened a 640,000-square-foot fulfillment center in 2022, creating approximately 1,000 jobs.

 

  • Suffolk: Amazon has a 3.8 million-square-foot facility in Suffolk, employing more than 1,500 workers.

 

  • Fishersville/Augusta County: Amazon opened a fulfillment center here in 2023

 

  • Baltimore (BWI2, BWI5, MTN5)

 

  • Hagerstown (HGR2)

 

  • Sparrows Point (DCA1, DCA2)

 

  • Virginia Beach: In August 2023, the Virginia Beach City Council announced the city will pay for a new road to service a large e-commerce robotics fulfillment center and a “last-mile” facility. Many believe Amazon will operate this warehouse, creating more than 1,000 new jobs.

 

Skilled Workers Compensation Attorneys to Handle Your Amazon Workers Comp Claim and Settlement

 

You can take on Amazon alone while hurting physically, mentally, and financially. 

 

But we do not recommend it. 

 

Instead, hire an Amazon workers comp lawyer who has taken on the company, Sedgwick, and the law firms representing these organizations. 

 

When our law firm handles your Amazon work injury claim, we do the following: 

 

  • File all relevant claims (the initial claim for benefits an subsequent change in condition applications)

 

  • Try to get you away from Amcare and to a claimant-friendly physician

 

 

 

  • Present your case at trial if needed

 

 

  • Help you prepare for the IME and develop evidence to counter unfavorable opinions from this defense medical examiner

 

 

  • Defend you at deposition

 

  • Calculate reasonable settlement ranges and negotiate with Amazon/Sedgwick to get more money for you

 

 

  • And more

 

Call us today for a free consultation: 804-251-1620 or 757-810-5614. 

 

We have served as the workers compensation attorney for many Amazon workers in Virginia and Maryland. And we want to resolve your claim. 

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